Steve and Barry''s gets an Indian partner

Mumbai: New York-based retailer Steve and Barry''s has India on its mind. Reports indicate the retailer has plans to enter the Indian market via the FDI route, through a 51 per cent stake in joint venture.

The remaining 49 per cent will stay with the local partner, according to Avirat Sonpal, managing director, Unisource Group, and vice-president, Steve and Barry''s.

Using the single-brand retailing norm it is known for, Steve and Barry''s is expected to announce the launch of its operations in the Indian market in about four to six weeks.

The Unisource Group has been Steve and Barry''s Indian sourcing partner for over six years, and is funded by the international retailer.

Sonpal told the media hat he would be Steve and Barry''s local partner when it enters the Indian market as a retailer. Sonpal disclosed that the US firm would use the single-brand retailing route under its own name and announce operations in the coming weeks.

Steve and Barry''s has a strong retail presence in apparel and footwear, and these are the categories it is expected to leverage for its Indian foray. The company is likely to source some of its apparel offerings through local sources, while relying on the Chinese for footwear.

Steve and Barry''s is a value-based retailer, and would expect to compete in the Indian market, mainly on its pricing strategy. Steve and Barry''s business model hinges on economies of scale, relying on smaller margins driven by higher volumes. The same model is expected in India.

Suppliers to Steve and Barry''s include textile companies such as Bombay Rayon and Alok Industries.

The Unisource Group has Steve & Barry''s affiliate for six years, providing supply chain solutions, retail operations solutions, and support solutions for Steve & Barry''s University Sportswear in the US.